Record Forclosures in 2009!
It's getting crazy
In 2009, 2.8 million households were threatened with forclosure. This is up 21 percent from a year earlier. 2010 is expected to be a lot worse.
This year it is expected that between 3 and 3.5 million homes will enter some kind of forclosure this year.
In December of 2009 more than 349,000 homes were hit with some form of forclosure notice. This is up 14% from november and 15% from a year earlier
92,000 homes were repossessed in December, which is a 19% jump from November.
Forclosures have a heavy impact on the economy as well as they can lower the property values of surrounding homes and also the city does not collect property taxes on empty forclosures. Home prices are still down 30% from mid 2006.
Why all the Forclosures
Economic issues, such as unemployment or reduced income, are expected to be the main catalysts for foreclosures this year. Homeowners with good credit who took out conventional, fixed-rate loans are the fastest growing group of foreclosures. Yet another major impact on this years forclosure numbers may be the interest rate. We are at all time record low interest rates right now and they don't seem to be helping the economy at all. The government will have to raise these interest rates soon to fight the inflation that will be caused by all the massive bailouts.
More than 10 percent of Nevada housing units received at least one foreclosure filing in 2009, with Florida and Arizona following with about 6 percent each. The other states ranked in the top 10 for the year were California, Utah, Idaho, Georgia, Michigan, Illinois, and Colorado.
Related Articles
http://www.huffingtonpost.com/2010/01/14/record-year-for-foreclosu_n_422945.html